Progress in economic reforms in the Soviet Union and Eastern Europe

Author(s):  
MARCIN SAR

The author comments on the dynamics of Moscow's effort to reconcile its pursuit of control over Eastern Europe with its interest in a viable Eastern Europe, one that is stable and capable of self-sustaining development. Although Moscow has always exercised control in military matters, it allowed some Eastern Europeans economic independence in the 1970s. Changing circumstances in the 1980s, however, have caused the Kremlin to rethink its relationships with its Eastern European “satallies”— half satellites, half allies. Moscow faces dilemmas in areas such as energy, agriculture, the Eastern European states' relations with the West, economic reforms occurring in Eastern Europe, and integration within COMECON. How Moscow resolves these dilemmas lies at the core of its future relationships with Eastern Europe. Other important factors include the lessons learned from Poland, East Germany's evolving relationship with the Federal Republic of Germany, and China's growing economic and political initiatives vis-à-vis Eastern Europe.


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